Generally speaking, only "livable space" is included in determining the square footage of a home. Garages, unfinished attics and basements for example are not included when calculating square footage.
"Livable space" is a bit tricky though. Hallways and closets are included when determining a homes square footage, and no one really lives in a hall or closet. However it'd be difficult to live in a home that didn't have closets and halls...
Additions to a home often cause a lot of difficulty in calculating square footage. The laws in your area may effect how additions are counted. In the Phoenix area, if a home addition is permitted, then that area can be included in a homes square footage. If the addition is not permitted, then it isn't included.
Square footage numbers are usually taken from previous sales data, tax records (which are often incorrect) or builders plans. An appraiser may be your best bet for determining the true square footage of a home as they are typically skilled in measuring square footage.

square feet
In Texas the walls of the house count toward the square footage. So a house with thick walls will feel smaller than the square footage that is listed. I heard this is not the case in California and some other states. Is this the case?
How would I know if a house addition was permitted?
I'm looking at a house that has had an addition to it, it was a good job but looks like it was done by a handyman not a professional builder. Where would I go to see if it was done under a permit or not?
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You are correct in that many times square footage is not calculated correctly. Though it can be a tax break on your property taxes, it can be an area of dispute when you go to sell since most pricing is determined by cost per square feet.
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Livable space is a very important concept particularly to the prospective buyer. Hallways, stairs, closets and other areas may not be conceived as livable. I think the biggest thing is just having a workable design that is "common" enough to accommodate most families. A new trend here is three story townhomes which chop up the space even more between three levels.
Home's Square Footage
Calculating a Home's square footage is a pain, I would just trust what they told me when I bought it and not worry about it after that. I don't feel like measuring halls and closets, but rooms are not so bad.
Walls are generally
Walls are generally included in the square footage. Its best to have some expert find it out, you may miss out on something, when accurate figures are needed.
They seem to round up...
Hey Jay have you noticed how a lot of folks round up to include walls and other non-livable space so they can charge you more money because there's more sq. ft.? Once my credit score was high enough and I was shopping for a home I noticed that a lot... it really erked me!
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